A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §11-13Y-1; and to
amend said code by adding thereto a new section, designated
§18A-4-21, all relating to establishing the Teacher Shortage
Incentive Pilot Program; addressing geographic shortage areas
and subject matter shortage areas through a bonus, tax credit,
tuition reimbursement, housing allowance or any combination
thereof; distributing moneys to county boards for addressing
teacher shortages; conditioning the distribution on having a
plan for addressing the teacher shortages that is approved by
the state board; establishing a special account; and requiring
a report to the Legislative Oversight Commission on Education
Accountability.

Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended by adding thereto a new section, designated §11-13Y-1; and that
said code be amended by adding thereto a new section, designated
§18A-4-21, to read as follows:

CHAPTER 11. TAXATION.

ARTICLE 13Y. TAX CREDITS FOR CERTAIN TEACHERS.

§11-13Y-1. Teacher Shortage Incentive Pilot Program tax credits.
(a) Credit allowed. -- As part of the Teacher Shortage
Incentive Pilot Program, for the tax year beginning on the first
day of January, two thousand eight only, there shall be allowed a
credit for a classroom teacher employed in a geographic shortage
area or a subject matter shortage area, as those terms are defined
in section twenty-one, article four, chapter eighteen-a of this
code, against personal income taxes imposed by this state for wages
paid to that teacher, subject to the following:
(1) A classroom teacher is not eligible for the credit unless
the teacher is employed by a county board that has a plan approved
by the State Board of Education pursuant to section twenty-one,
article four, chapter eighteen-a of this code, and the plan
includes the use of a tax credit for addressing a geographic
teacher shortage, a subject matter teacher shortage or both; and
(2) The tax credit shall be for the amount specified in the
county board's approved plan.
(b) Legislative rule. -- The Tax Commissioner, after
consulting with the State Superintendent of Schools, shall
promulgate an emergency rule in accordance with the provisions of
article three, chapter twenty-nine-a of this code to implement this section.

CHAPTER 18A. SCHOOL PERSONNEL.

ARTICLE 4. SALARIES, WAGES AND OTHER BENEFITS.

§18A-4-21. Teacher shortage incentive pilot program.

(a) The Legislature hereby finds and declares that:
(1) There is an urgent demand for the recruitment of new
teachers to fill positions of immediate need;
(2) The shortages that exist in the state include both
geographic area shortages and subject matter shortages;
(3) The geographic area shortages exist in counties such as
Berkeley County and Jefferson County where student enrollment
increases and competition from higher teacher salaries in
neighboring states come together to create significant teacher
shortage problems;
(4) The subject matter shortages in mathematics, science and
foreign language are important subjects that are consistent with
the vision for twenty-first century schools, are critical to
gaining a competitive edge in an increasingly global economy and
are closely aligned with major Science, Technology, Engineering and
Math (STEM) initiatives supported by the United States Department
of Education, the National Governor's Association and others;
(5) Prospective classroom teachers in the teacher preparation
programs of West Virginia should be encouraged to obtain
certification in these subject matter shortage area fields and all
teachers should be encouraged to fill subject matter shortage area
and geographic shortage area positions; and
(6) Therefore, a one year pilot program that provides funding
to counties for addressing geographic shortage areas and subject
matter shortage areas would be an effective method for developing
permanent strategies for addressing the shortages.
(b) This section shall be known as and may be cited as "The
Teacher Shortage Incentive Pilot Program". The program is to exist
for one year from the effective date of this section.
(c) For the purposes of this section:
(1)"Geographic shortage area" means any classroom teacher
position in either Berkeley County or Jefferson County for which an
opening is posted; and
(2) "Subject matter shortage area" means any classroom teacher
position requiring certification in the subjects of math, science
or foreign language for which an opening is posted.
(d) Subject to subsection (e) of this section, for each
position in a county that is in either a geographic shortage area
or a subject matter shortage area, the state board shall distribute
funding that may be used by the county to address the teacher
shortage through one or more of the following methods:
(1) A bonus for the classroom teacher employed in either or
both shortage areas;
(2) A tax credit for the classroom teacher employed in either
or both shortage areas;
(3) Tuition reimbursement for the classroom teacher employed
in either or both shortage areas; or
(4) A housing allowance for the classroom teacher employed in either or both shortage areas.
(e) No county is eligible for any funding provided pursuant to
this section unless the county submits a plan to the state board no
later than the fifteenth day of April, and the plan is approved by
the state board. The plan shall not be approved by the state board
unless:
(1) The plan sets forth which of the four methods of
addressing teacher shortages authorized by this section or which
combination of those methods that the county board will use to
address teacher shortages;
(2) The plan includes details for each of the methods used on
how the method will be implemented;
(3) The details of implementing each of the methods are
consistent with any requirements established in this section; and
(4) The plan meets any other requirements that are established
by the state board.
(f) For any county board that adopts a plan that includes the
implementation of one or more of the methods of addressing teacher
shortages, the plan shall not be approved by the state board unless
the plan provides that:
(1) A classroom teacher is not eligible for any of the
benefits authorized by subsection (d) of this section unless he or
she has accepted an offer of employment in either a geographic
shortage area or a subject matter shortage area;
(2) A classroom teacher is not eligible for any of the
benefits authorized by subsection (d) of this section unless he or she has been offered employment on or after the date the plan is
approved;
(3) A classroom teacher is not eligible for any of the
benefits authorized by subsection (d) of this section if he or she
has been employed in a geographic shortage area or a subject matter
shortage area position within the twelve months immediately
preceding his or her hire;
(4) No classroom teacher is eligible to receive the bonus or
the tax credit authorized by subsection (d) of this section more
than once;
(5) Any bonus payment shall be made in a lump sum payment upon
the effective date of employment;
(6) Any of the benefits authorized by subsection (d) of this
section shall be subject to all applicable federal and state
employment or wage withholding requirements;
(7) Any of the benefits authorized by subsection (d) of this
section shall be in addition to any amounts prescribed in the
applicable state minimum salary schedule; and
(9) In consideration for any of the benefits authorized by
subsection (d) of this section, the county board shall require a
classroom teacher that receives the benefit to enter into a written
agreement in advance of receiving the benefit that, if the
classroom teacher voluntarily discontinues employment or
voluntarily accepts another position of employment with the county
board that would render the teacher ineligible for the benefit, at
any time within three years immediately following payment of the bonus, he or she shall be obligated to pay to the county board a
pro rata portion of the value of the benefit equal to the part of
the three-year period which the teacher has chosen not to remain
employed by the county board in a position eligible for the receipt
of the benefit. The county board is authorized to withhold the
prorated amounts from any final payments due and owing to the
teacher.
(g) Any tax credit given to a teacher shall be in accordance
with section one, article thirteen-y, chapter eleven of this code.
The state board shall coordinate with the Department of Revenue in
developing a procedure for reimbursement of any revenue lost as a
result of the credit.
(h) Payment of any amounts to counties pursuant to this
section is subject to the availability of funds, and nothing in
this section guarantees payment of the amounts absent specific
legislative appropriation therefor;
(I) For fiscal year two thousand nine:
(1) There is hereby established in the State Treasury a
special account designated the Teacher Shortage Incentive Pilot
Program Fund;
(2) The fund consists of five million dollars which shall be
appropriated by the Legislature and any interest or other return on
the moneys in the fund. Any expenditures or distributions made
pursuant to this section are limited to the five million dollars;
(3) Any moneys remaining in the account at the end of the two
thousand nine fiscal year, including accrued interest, revert to the General Revenue Fund;
(4) Moneys appropriated for deposit into this account shall be
administered by the State Department of Education and distributed
to county boards pursuant to procedures established by the State
Department of Education; and
(5) Forty percent of the moneys appropriated for deposit into
the account shall be used for the payment to counties for
addressing geographic shortage area positions, and sixty percent
shall be used for the payment to counties for addressing subject
matter shortage area positions.
(I) The State Department of Education shall report to the
Legislative Oversight Commission on Education Accountability after
the one year pilot program has elapsed, but not later than the
first day of August, two thousand nine. The reports shall include
at least the following information:
(1) The frequency of use of each of the four methods
authorized by this section for addressing teacher shortages;
(2) The degree of success experienced using each of the four
methods for addressing teacher shortages set forth in this section;
and
(3) Recommendations for establishing a permanent program for
addressing geographic and subject matter teacher shortages
including recommended definitions of "geographic shortage area" and
"subject matter shortage" area that best fit the needs of the
state.